Swiss America Blog Archive

4.29.16 - Gold Rockets To 15-Month High!

Gold last traded at $1,293 an ounce. Silver at $17.85 an ounce.

NEWS SUMMARY: U.S. stocks traded lower Friday, the last trading day of the month, with health care and technology stocks leading declines. Meanwhile, precious metal prices rocketed to fresh highs on safe-haven buying and a weaker dollar.

Gold Rallies on Weak Dollar, Safe-Haven Demand - Wall Street Journal
"Gold prices rose to their highest level in 15-months Friday, boosted by a weaker U.S. dollar and heightened demand for safe-haven assets. Gold traded as high as $1,297.10 earlier in the session, its highest level since January 2015. Friday's move also marks the biggest one-day gain since March 17, when gold rose 2.9%....Some investors buy gold in times of economic or political uncertainty, as they believe the metal will hold its value better than other assets when markets get choppy."

SAleader Market volatility, stagnant growth, falling confidence and safe-haven buying have propelled gold prices up nearly 25% this year. Gold and silver are the best assets to own this year because uncertainty is now certain. But here's the BEST news: You have NOT missed the boat! According to Bill Bonner's latest report, "Gold is entering a 30-Year Bull Market" ... that's just getting starting. Bestselling author Jim Rickards is now calling for $10,000 an ounce gold prices. Get informed now, read our 2016 Gold Report - World Edition.

War, Death and Gold -Rickards/Forbes
"Currency Wars: Rickards stated that currency wars don't often happen, but when they do they can go on for a long time. There were two currency wars in the 20th century: 1921 to 1936 and 1967 to 1987. The third currency war began in 2010, and Rickards is afraid that it will last until 2025. He argues that currency wars are not only a monetary concern but also a national security concern, which could negatively impact the whole world. The Death of Money: Rickards further discussed gold and the war between gold and currencies. He stated that no currency can replace the US dollar to become the world's reserve currency. The greenback has held this position since the end of the Second World War and accounts for 60% of global reserves and 80% of global payments. The New Case for Gold: Rickards argues that gold will be an important part of the financial world in the future and that a lot of the problems in the world can be explained by gold. He is concerned about the possibility of another collapse of the global monetary system like what happened 3 times in 100 years - in 1914, 1939 and 1971 - all followed by a severe time of war, political instability and turmoil in the world....Rickards insists that hard times are coming and the financial system will collapse. And gold is the most prudent asset for investors."

Puerto Rico's Eve of Default -Bloomberg
"Puerto Rico's crisis is set to tip into a new phase this weekend when $422 million of payments are due and, as things stand, unlikely to be made in full - threatening the biggest default yet....Congress failed to come up with one by this weekend's deadline, when the island's Government Development Bank, which lends money to the local authorities that run schools and other services, is the potential defaulter. Some of its bonds trade at just 20 cents on the dollar, amid last-ditch talks to defer payments....Puerto Rico's desperate search for revenue has seen it raise sales taxes to 11.5%, the highest in the U.S....With their prospects darkening, many Puerto Ricans have concluded that it's time to jump ship for the mainland."

Obama's Grand Economic Legacy Claims -New York Times
"Two months ago, across an assembly-room table in a factory in Jacksonville, Fla., President Barack Obama was talking to me about the problem of political capital. His efforts to rebuild the U.S. economy from the 2008 financial crisis were being hit from left, right and center. And yet, by his own assessment, those efforts were vastly underappreciated. 'I actually compare our economic performance to how, historically, countries that have wrenching financial crises perform,' he said. 'By that measure, we probably managed this better than any large economy on Earth in modern history.' It was a notably grand claim, especially given the tenor in which presidential candidates of both parties had taken to criticizing the state of the American economy - 'Many are still barely getting by,' Hillary Clinton said, while Donald Trump said that 'we're a third-world nation.'.... Obama claims, 'We were moving so fast early on that we couldn't take victory laps...I mean, one day we're saving the banks; the next day we're saving the auto industry; the next day we're trying to see whether we can have some impact on the housing market.'"

According to authors Craig Smith and Lowell Ponte, here's the real economic legacy of the Obama administration, "Progressive policies and institutions have debased the U.S. Dollar, hamstrung our economy, and fundamentally transformed our once-free marketplace into companies and institutions addicted to and dependent on Progressive government favors and largesse."

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4.28.16 - As GDP slumps, Gold soars

Gold last traded at $1,266 an ounce. Silver at $17.56 an ounce.

NEWS SUMMARY: U.S. stocks fell sharply Thursday on weak economic growth data despite upbeat Facebook earnings. Meanwhile, precious metal prices surged 1-2% as the dollar tumbled against the Yen.

Gold is surging -Business Insider
"Gold headed towards its highest close in over a year on Thursday. The precious metal gained as much as 1.52%, or $18.90 an ounce, to as high as $1,265.45, the highest since last March. The big news in markets Thursday came out of Japan, where the central bank unexpectedly held fire on more stimulus and made no changes to its asset-purchasing program. This sparked a sell-off in global equities and US futures."

The 'trend is your friend' in 2016. Gold and silver are the best assets to own this year as economic growth stagnates and political uncertainty is virtually certain. As we cover in our 2016 Gold Report - Global Edition, "The global recession has also taken a toll on the American economy. Stagnant GDP readings, volatile money markets, feeble wage growth, slumping corporate profits and weak business investment all spell a failed recovery."

GDP U.S. Economy Stagnates, Weakest in Two Years -Bloomberg
"The U.S. economy expanded in the first quarter at the slowest pace in two years as American consumers reined in spending and companies tightened their belts in response to weak global financial conditions and a plunge in oil prices. Gross domestic product rose at a 0.5% annualized rate after a 1.4% fourth-quarter advance, Commerce Department data showed Thursday. The increase was less than the 0.7% median projection in a Bloomberg survey and marked the third straight disappointing start to a year."

The madness of negative interest rates -Washington Times
"Negative, zero or very low interest rates encourage people to buy much more expensive homes than they normally would, which is to their benefit until interest rates rise...This real estate bubble cannot be sustained, so at some point it is going to all come crashing down. Negative or low interest rates from central bank actions misallocate capital from its highest and most productive uses, resulting in lower economic growth and job creation. The present madness began with the mistaken belief that monetary policy could be used to solve problems caused by too much government spending, taxation and regulation. At some point, there will not be enough savers to continue to agree to accept negative rates on their savings (after inflation) to support all of the government spending, and the game will be over. And those responsible for the madness will blame others."

Learn more about how negative interest rates are helping fuel the government's assault on cash transactions in our free report, Secret War on Cash

Fed's calling in 'helicopter money' -Marketwatch
"Whenever 'Apple notes that there is a notable slowing down in growth, we have to stop and look into this,' Nour Al-Hammoury, chief market strategist at ADS, said in an email. He says Apple could be signalling we're 'at the end end of the business cycle.' DoubleLine Capital's boss, Jeff Gundlach expects some 'hawkish' language at the Fed meeting, he also expects the central bank will resort to 'helicopter money' eventually to get the economy charged up. Though some have warned that kind of move - an injection of money printed by the central bank directly into households and the private sector via tax cuts and public spending - could be costly for the eurozone, if it happens. He also thinks investors looking to buy stocks right now should veer away from Wall Street as non-U.S. stocks are down more right now. And he repeated that a Donald Trump GOP nomination - which looks more likely after Tuesday's primaries - will trigger a global growth scare."

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4.27.16 - Government Money-Grab Countdown

Gold last traded at $1,245 an ounce. Silver at $17.25 an ounce.

NEWS SUMMARY: U.S. stocks traded mixed Wednesday amid disappointing Apple earnings, after the Fed statement warned, "mixed economic backdrop and lingering concerns about low inflation and global developments" will result in "gradual rate increases" ahead. Meanwhile, precious metal prices inched higher on a weaker U.S. dollar.

A Gold Revaluation Could Transform Your Financial Status Overnight -Minyanville
"As we move through 2016, the Horsemen of the geopolitical, economic, and social apocalypse are on the march....In Europe, NIRP is causing large corporations to hoard cash and buy gold rather than keep a large bank balance....As the world's governments come face to face with the prospect of currency collapse, something's going to give. Confidence in (acceptance of) fiat money is literally all that holds things together....There will be a revaluation in the price of the most powerful, effective, and durable store of value humankind has ever utilized - gold. Talking heads and politicians like to say, 'but there wouldn't be enough gold for that!' Oh, yes there is... but only at the right price! Jim Rickards suggests, '$10,000 an ounce as a realistic gold revaluation price.'"

In our 2016 Gold Report - World Edition we explain how to shelter your wealth from a global banking or currency crisis and safeguard your savings from negative rates by diversifying your portfolio with physical gold and silver.

SilRep Capital Controls, Nationalization of Retirement Savings Ahead -International Man
"Think of the government as a thief trying to steal your wallet as you (understandably) try to run away. With capital controls, the thief is trying to block all the exits so you can’t reach safe ground....A government only uses capital controls when it’s desperate… when it can no longer borrow, inflate the currency, tax, or steal money in one of the 'normal' ways. In most cases, governments use capital controls in severe crises. Think financial and banking collapses, wars, or chronic economic problems. In other cases, they’re just a way to control people. It’s much more difficult to leave a country when you can’t take your money with you. Regardless of the initial catalyst, capital controls help a government trap money within its borders....It's no secret that retirement accounts are a juicy target for any desperate government. The most common way to nationalize these accounts is to convert their assets into so-called 'safer' government bonds. As with most government measures, this is sold as 'for your own good.' We are already hearing whispers from the U.S. government about helping to 'manage' retirement savings. This is code for converting retirement investments into U.S. treasuries."

A Cashless, Leveraged Economy Is the Endgame -Money Morning
"For a long time, I've been cautioning investors that destructive insanity like negative-interest-rate policies (NIRP) would have dire unintended consequences. Sure enough, by now more than 20 countries around the world have imposed NIRP in some form or another, and it's clear those warnings were right on the money....Ever since NIRP's proven to be a total failure at kick-starting economic growth, there have been ever louder noises about doing away with physical cash. The ultimate goal, if you have any doubt, is to eventually do away with physical cash altogether. That way, negative rates will act as an unavoidable tax for everyone with a bank account. All it takes is an automatic monthly debit on your balance to apply negative interest rates."

Former House speaker sentenced to 15 months in prison -Associated Press
"Dennis Hastert, the Republican who for eight years presided over the House and was second in the line of succession to the presidency, was sentenced Wednesday to more than a year in prison in the hush-money case....Hastert becomes one of the highest-ranking politicians in American history to be sentenced to prison. He pleaded guilty last fall to violating banking law as he sought to pay $3.5 million to someone referred to in court papers only as Individual A to keep the sex abuse secret."

Craig Smith comment: Do you still doubt the "War on Cash" is real? Then you need to read our book, Don't Bank On It. Any U.S. citizen, including prominent politicians, can be deemed a crook merely by withdrawing their own money out of the bank in a way the government deems unacceptable.

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4.26.16 - Banks Reach the Point of No Return - War on Cash Underway

Gold last traded at $1,243 an ounce. Silver at $17.11 an ounce.

NEWS SUMMARY: U.S. stocks traded mixed Tuesday on downbeat durable goods and consumer confidence data as central bank meetings commenced. Precious metal prices rose modestly as economic data weighed on the dollar.

Silver's Bull Market Has So Much More to Give -Bloomberg
"Silver’s bull run looks like it has legs. The metal with the best return this year of any in the Bloomberg Commodity Index is poised for more gains, investors, traders and market data suggest. 'Silver has the best-looking chart among all the commodities,' said Andy Pfaff, who as chief investment officer for commodities at MitonOptimal Group in Cape Town increased his allocation to the metal over the past two weeks. 'When silver moves, it really, really moves, and everyone wants to be on the right side of that trade.'....The metal is up more than 12% in the last two weeks after underperforming gold in the first quarter on concerns slow Chinese growth would curb demand in the biggest consumer of commodities. While both are precious metals, silver has more uses in manufacturing."

America's money system used to be "as sound as a (silver) dollar"! But today, a paper dollar is only worth 1/17th of a silver dollar. A new bull market in silver began over a decade ago, driving the price of silver from $4.50/oz. in 2003 to $17/oz. in 2016. Over the last six years circulated Morgan Silver Dollars - the most popular silver coins ever minted - have risen 28% in price while silver bullion is actually down 1%! Find out why we see excellent growth potential for Morgan Silver Dollars. Read more...

dollar War on Cash to Accelerate as Negative Interest Rates Come to the U.S. -International Man
"Negative rates could not exist in a free market. They can only exist in an 'Alice In Wonderland' economy created by central bankers....Producing more than you consume and saving the difference is the basis of prosperity. However, negative interest rates destroy the impetus to save....Of course, central bankers don’t want you to withdraw money from the bank. This is a big reason why they are trying to incrementally eliminate cash. If you can’t withdraw your money as cash, you have two choices: deal with negative interest rates... or spend your money. Ultimately, that’s what central economic planners want. They are using negative interest rates and the War on Cash to force you to spend and 'stimulate' the economy."

Have central banks (including the Fed) painted themselves into a corner? Are banks worldwide now at the point of no return? What's next? Watch our new Secret War on Cash 1:00 video

Goldman Sachs Entices $1 Savers with 1% Return -Wall Street Journal
"Goldman Sachs Group Inc., adviser to billionaires and the world’s largest companies, will now accept your couch-cushion money....The financial firm most synonymous with Wall Street started offering savings accounts and certificates of deposit this month from the website of its banking arm, GS Bank. The firm will accept new customers with as little to save as $1, though they will need $500 to open a certificate of deposit....Goldman Sachs’s sudden fondness of small accounts is mainly driven by recent bank regulations that look more kindly on retail deposits. With the move, the New York company isn’t offering full-service retail banking. For example, its savings accounts don’t come with checking features, ATMs or Goldman branches to accept cash. 'What these actions are showing you, is that the regulatory environment is very tough right now for a traditional investment bank,' said Brian Kleinhanzl, an analyst with Keefe, Bruyette & Woods."

Negative interest rates coupled with new banking regulations are now forcing big banks to take desperate measures to keep the cash deposits flowing in; such as buying equities and dropping minimum levels on deposits. This should be warning us our banking system is in trouble. Bank instability is bad for economy, but boosts gold prices. For details read our 2016 Gold Report - World Edition

State Capitalism: The Enemy of Free Markets -Telegraph
"If the Saudi government has its way, a 5% stake in Saudi Aramco, its state-owned oil company, is going to be floated, valuing the business at over $2 trillion....The Saudi proposal is another case of the unfortunate and confusing rise of state capitalism, a subset of corporatism. State capitalism is very different from real, tooth in claw free market capitalism: it involves public bodies that dress up as private sector actors but which, at the end of the day, maintain a core public sector mindset, or private firms that begin to rely and depend so much on the government for their success that they forget what real competition and markets look like. Other members of this 'third sector' hybrid include sovereign wealth funds, as well as a bevy of semi-private companies that are in fact controlled or heavily influenced by politicians. Increasingly, central banks also qualify: they are also becoming more active in capital markets, snapping up corporate bonds (and not just government IOUs) as part of quantitative easing and thus directly subsidising some businesses."

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4.25.16 - Gold Rally Has Mega Momentum

Gold last traded at $1,240 an ounce. Silver at $17.00 an ounce.

NEWS SUMMARY: U.S. stock prices fell Monday as investors stayed on the sidelines ahead of key central bank statements from the Fed and Japan later in the week. Meanwhile, gold prices rose on bargain hunting and a weaker U.S. dollar

Gilder Uncovers The Economy-Sapping Scandal Of Money -Forbes
"The very real scandal in The Scandal of Money is a dollar that floats without definition. George Gilder wisely reminds readers that 'Prehistoric man commanded all the material resources we have today.' The difference between the prehistoric economy and the one of the present is information....To Gilder money is 'the central information utility of the world economy. As a medium of exchange, store of value, and unit of account, money is the critical vessel of information about the conditions of markets around the globe in both time and space.'....The dollar is the most important price in the world, but its value today isn’t the same as it was yesterday, nor will it be the same tomorrow or many years from now. There lies the major problem; one that led to Gilder’s profound new book....Gilder thinks and writes on another level, and in doing so makes a brilliant case for a return to quality money....That he’s put his amazing mind behind good money promises to give the movement a better lift than most any economist could, and that may actually gift it with real results. When good money (gold) eventually reveals itself, George Gilder will have surely played a major role in its return."

If you've ever wondered why stock prices have risen while the economy keeps falling, then The Scandal of Money is a must read. "The prophets of despair, posing as economic wizards, do not have the last word. We do...we can save Main Street from the menace of monopoly money...regaining the American mission and dream," writes Gilder. This is very good news indeed. Recommended reading!

gold Gold Prices Headed to $1,450 Says Analyst -CNBC
"Gold bugs may have a firmer grip on the market than you think. Consolidation in the precious metal has become the driving force for positive near-term momentum in the space, said Zev Spiro, CEO and chief market technician at Orips Research. It comes as both gold and silver trade around their highs for the year....Spiro is forecasting the yellow metal to cost about $200 more an ounce by the end of the year. He added that '$1,450 is my objective. Once we get a break above the $1,280 area, I suspect there will be a fast directional move higher.'"

Think you've missed the 21st Century gold rush? It's never too late to convert some paper money into real money. If you don't own any physical gold buy it at any price. The economies of the world are slowing down, and your savings are NOT IMMUNE. Gold serves as wealth insurance, no matter what happens. Protect your money today, read our 2016 Gold Report - World Edition.

Bank Of Japan A Top 10 Holder Of Japanese Stocks -Zero Hedge
"The latest shocking example of just how intertwined central banks have become in all capital markets, comes courtesy of the Bank of Japan which days ahead of a move which may see it double its ETF purchases from the current run rate of JPY3.3 trillion to JPY7 trillion or more (if Goldman is correct), is revealed to be a top 10 holder in about 90% of all Japanese stocks. Crazier still, if as Goldman predicts the BOJ doubles its purchases of ETFs, the central bank could become the No. 1 shareholder in about 40 of the Nikkei 225’s companies by the end of 2017."

Banks are becoming riskier by the day, literally. Thanks to zero and negative interest rate experiments worldwide, bankers are now being forced to chase returns in the equity markets. This is just one of the 20 major banking risks we cover in our FREE executive summary of DON'T BANK ON IT!

The Case Against Helicopter Money -Japan Times
"The idea of helicopter money dates back to the monetarism debates of the 1960s. A central bank, it was argued, never runs out of options for stimulating aggregate demand and stoking inflation, provided it is willing to resort to radical measures. But what was once a theoretical notion now seems to be a concrete possibility. In practice, helicopter drops would arrive in the form of lump-sum payments to households or consumption vouchers for everybody, funded exclusively by central banks....The question now: Is such an extreme step really justified? The answer is no....In this environment, distributing largesse financed by the central bank would have dangerous systemic consequences in the long run, because it would create perverse incentives for everyone involved."

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Gold last traded at $1,232 an ounce. Silver at $16.92 an ounce.

NEWS SUMMARY: U.S. stocks traded lower Friday, with tech stocks leading declines after major earnings in the sector disappointed. Meanwhile, precious metal prices dipped as the dollar rallied against the Japanese Yen on additional stimulus talk. For the week, gold prices rose 1% and silver prices rocketed 6%.

US Manufacturing Plunges To 7-Year Lows -Zero Hedge
"Following Japan's record low PMI, Europe's modest pick-up, and China's bounce, this week's Philly Fed crash was more indicative as US Manufacturing (flash) PMI printed 50.8 (from 51.5 in March and notably missing 52.0 expectations). This is the lowest print since September 2009 with New Orders sliding (weakest since Dec 2015), and Employment at its weakest since June 2013. As Markit notes, 'US factories reported their worst month for just over six-and-a-half years in April, dashing hopes that first quarter weakness will prove temporary.'"

GoldisMoney Gold has everything in its favor -Marketwatch
"Several gold investors who have enjoyed the ride so far believe the next move is up from here - possibly even taking out prior highs for the metal. 'I would not be surprised to see all-time highs in this next leg of the precious-metals cycle,' says John Hathaway, manager of the Tocqueville Gold Fund. He thinks that could take a few years. 'This is the first leg up,' agrees Frank Holmes, who manages the U.S. Global Investors Gold and Precious Metals Fund. 'There’s a war on cash and a war on savings, and people are starting to see that,' says Hathaway. 'All of this drives people to think: What else is there? Where else can I keep my money safe?' One answer, of course, is gold. Hathaway thinks the best way to get exposure to gold is to buy the metal itself, and then store it in a safe place....Hathaway walks the walk. He has about 14% of his portfolio in physical gold."

John Hathaway tells it like it is. A decade ago, when gold was about $600 an ounce, he was the first to call for four-digit gold prices, saying he would not be surprised to see gold at $1,700 an ounce - which occurred in 2011. Discover additional reasons why gold has 'everything in its favor' by reading our 2016 Gold Report - World Edition.

LAUGH/CRY OF THE WEEK: Californians support abolishing cash -InfoWars
"Clueless Americans signed a fake petition calling for a ban on physical cash in favor of digital currency, in a recent video from social commentator Mark Dice. 'People are using cash to buy things and we’re not able to track them and trace them, and so it’s time to move to an all-digital currency,' Dice explained to one man who had already begun signing the petition....Indeed, most beachgoers displayed little hesitation in signing their names and birth dates to the petition seeking to bring about a cashless society."

This story and video would be laughable if it weren't so sad. As America's 2nd president John Adams once said, "All the perplexities confusion and distress in America arise not from defects of the Constitution, not from want of honor or virtue, so much as from downright ignorance of the nature of coin, credit and circulation." Get up to speed fast by reading The Secret War on Cash.

On Earth Day, it's time to admit business isn't the enemy -CNBC
"Every year around this time, we summon our collective guilt at our mistreatment of the Earth and promise each other that we'll do better....But what if these Earth Day promises we've been making for almost 50 years are actually contributing to the problem rather than helping solve it? What if our anti-corporate slogans are alienating the groups that could make a big difference in the fight against climate change?....Here's the truth: We don't have to choose between the environment and the economy. Being green is profitable. This Earth Day, we need to bring the environmental movement and the business community together."

"The economy is an ecosystem," says futurist and author Lowell Ponte. When Progressive politicians and central banks meddle in the natural order of a free marketplace they disturb that natural order. What can be done to restore a healthy economy? Read this.

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4.21.16 -China Looks to Control Gold and the Dollar!

Gold last traded at $1,250 an ounce. Silver at $17.09 an ounce.

NEWS SUMMARY: U.S. stocks traded lower Thursday, taking the DJIA below 18,000, as telecoms led the decline. Meanwhile, precious metal prices inched higher on a flat U.S. dollar.

Moscow & Shanghai seek to dominate gold trade -RT
"The Bank of Russia and the People's Bank of China want to create a joint platform that would unite gold trading by the world's two biggest gold buying countries....In China, the gold trade is conducted in Shanghai, in Russia it is in Moscow. 'Our idea is to create a link between the two cities in order to increase trade between the two markets,' First Deputy Governor of the Russian Central Bank Sergey Shvetsov told TASS....China is the world's largest gold producer. Last year it produced 490 tons. Russia is third after Australia with about 295 tons produced last year. Overall, the countries make up 25 percent of the world gold production."

This story provides further evidence of ramped up efforts by the Chinese and Russian central banks to challenge the U.S. dollar as the world's reserve currency - a topic we have been warning our readers about and detail in our 2016 Gold Report - World Edition

stock chart Solar Giant SunEdison files for bankruptcy -CNBC
"U.S. solar energy company SunEdison filed for Chapter 11 bankruptcy protection on Thursday, becoming one of the largest non-financial companies to do so in the past 10 years. Once the fastest-growing U.S. renewable energy developer, SunEdison embarked on an aggressive acquisition strategy that left it struggling with $12 billion in debt. In its bankruptcy filing, the company said it had assets of $20.7 billion and liabilities of $16.1 billion as of Sept. 30."

What Did Fed Chairman Yellen Tell Obama? -Ron Paul/Mises
"This week, President Obama and Vice President Biden held a hastily arranged secret meeting with Federal Reserve Chairman Janet Yellen. According to the one paragraph statement released by the White House following the meeting, Yellen, Obama, and Biden simply 'exchanged notes' about the economy and the progress of financial reform. Yellen’s secret meeting at the White House followed an emergency secret Federal Reserve Board meeting. The Fed then held another secret meeting to discuss bank reform. These secret meetings come on the heels of the Federal Reserve Bank of Atlanta’s estimate that first quarter GDP growth was .01 percent, dangerously close to the official definition of recession....The Fed can only keep the wolves at bay with promises of future rate increases for so long before its polices cause a major dollar crisis....The no-win situation the Fed finds itself in is a sign that we are reaching the inevitable collapse of the fiat currency system...this collapse could usher in an economic catastrophe dwarfing the Great Depression."

Author Explains How to Stop America's 'Progressive' Decline -Ponte/Proven & Probable Radio Show
"Lowell Ponte, famed renowned author and think tank futurist provides an exclusive 2 part interview with Proven & Probable's Maurice Jackson, discussing Liberty, Capitalism, The FED, FDIC, Progressivism, Gold, Banking, Capital Controls, Politics, Race, Gold & More! Mr. Ponte provides empirical evidence regarding the past, current, and future of the United States and solutions to reclaim the virtues that made America the beacon of freedom and opportunity."

The American Dream is at risk this year as the Progressive Dream, espoused by both democratic presidential candidates Bernie Sanders and Hillary Clinton, is being pushed upon the public by every imaginable means in the mass media. Learn how to protect your financial future before America takes another sharp left turn by reading our free 16-page Executive Summary of Lowell Ponte and Craig Smith's latest book, WE HAVE SEEN THE FUTURE AND IT LOOKS LIKE BALTIMORE: AMERICAN DREAM VS. PROGRESSIVE DREAM.

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4.20.16 - The Economy Will NOT Be Saved By Zero!

Gold last traded at $1,254 an ounce. Silver at $17.13 an ounce.

NEWS SUMMARY: U.S. stocks traded higher Wednesday amid upbeat earnings, higher oil prices and rising home sales. Meanwhile, precious metal prices steadied after rising sharply this week on a weaker U.S. dollar.

Trump Hints He Would Replace Janet Yellen -Zero Hedge
"Three weeks after angering the mainstream media with his apocryphal assessment that the US 'Is Headed For A Massive Recession' and that 'It's A Terrible Time To Invest In Stocks', Trump is likely set to make even more waves with an interview he gave to Fortune magazine, which will be released in its entirety later this week, in which Trump says that while he likes Janet Yellen’s low interest rates, he is not a big fan of Janet Yellen herself. 'I think she’s done a serviceable job,' Trump tells Fortune. 'I don’t want to comment on reappointment, but I would be more inclined to put other people in.'"

Donald Trump continually demonstrates that he is an equal opportunity offender - willing to step on everyone's toes. When it comes to replacing Janet Yellen as Fed Chair, we agree wholeheartedly, as discussed in our free White Paper, The Biggest Bank Heist in History.

zero percent Negative Interest Rates May Be Positive for Gold -Real Clear Markets
"Perhaps the main reason people buy gold is as a hedge against inflation. But uncertainty and fear contributed undoubtedly to gold's stellar first quarter rise. But will it continue? Opinions vary among some of the most revered gold analysts in large financial firms...the mainstream financial firms have yet to alter their decidedly bearish outlook on gold. This could prove positive for those who take the contrarian position....If negative rates fail to generate growth, and there is no sign that they will, central banks then may take the next logical step down the endless stimulus path. They may decide to bypass the financial system as a pathway to issue newly created fiat money (as in Quantitative Easing), in favor of delivering money directly to consumers. This is what is known as 'helicopter money,' which the banks could drop from the skies onto an economy in hopes of getting consumers to spend....It should be apparent that bankers will not be deterred from trying any policy imaginable that punishes savers and destroys the value of fiat currencies."

The Fed is sailing the U.S. into stagflationary waters, according to Jim Carrillo, which historically is bad for the country; but could propel gold to new heights. Jim writes, "Today the underlying U.S. economy simply isn't healthy enough to sustain growth, which puts the Fed in a precarious position. If they lift interest rates during stagnant growth (i.e. recession) with the real unemployment rates high, the economy will freeze up. The fiddling Fed will then be trapped."

China's Impact on Physical Gold/Silver Markets -Murphy/Sprott Money
"When you dedicate yourself to a project for 17 years, as Bill Murphy, GATA and LeMetropole Cafe, has, it must to be a joyous occasion to see the beginning steps of justice being served. On April 14 Deutche Bank (DB) admitted, in a court of law, their precious metals desk had been rigging the silver market and as the information began to surface it was also discovered that DB had been rigging the gold market as well. This is only the beginning....On April 19, 2016 the Shanghai Gold Exchange (SGE) began offering physical gold, at spot price, but instead of the contract being settled in dollars it will be settled in yuan (Renminbi), the Chinese national currency. This will provide an alternative for companies and bullion traders around the world to acquire physical gold at the current stated spot price. This has huge implications for the current gold and silver markets that operate in London and Chicago. These two markets, over the course of the next year, will be impacted as more people begin using the new SGE physical gold market. We can only hope the impacts is a tipping point for the precious metals market...As you can see currencies, gold (gold is money) and silver (silver has been money longer than gold) are experiencing massive changes in a highly compressed time frame."

Political Nightmare on Wall Street - NY Times
"The problem goes beyond the popularity of Senator Bernie Sanders, who can’t seem to go five minutes without labeling big banks Enemy No. 1. 'The consensus, absolutely, is that the choices couldn’t be worse,' said William D. Cohan, a business writer and former Wall Street banker. 'This has become the nightmare scenario for people on Wall Street.'....There is a lot of confusion about what’s happening, and no clear favored candidate....Whatever happens in New York, it does seem as though voters’ trust in large institutions on Wall Street - along with the news media, Congress and political parties writ large - has eroded to the point of invisibility."

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Gold last traded at $1,254 an ounce. Silver at $16.97 an ounce.

NEWS SUMMARY: U.S. stocks struggled, closing mixed on Tuesday as tech giant IBM fell 6% amid downbeat housing data. Precious metal prices rose on a sharply weaker dollar, pushing gold prices up 1.5% while silver prices jumped up 4.4%.

The Sub-Zero Club: Getting Used to the Upside-Down World Economy -Bloomberg
"Japanese families seem to have a sudden affinity for home safes....And in Germany, insurer Munich Re has stashed some 10 million euros ($11.4 million) worth of its own cash into vaults. Why the squirreling? One possible reason is the creeping imposition of negative interest rates across the world, which could make it more rewarding to bypass banks - and a safe or vault is, well, more secure than a mattress. Welcome to the upside-down world of modern monetary policy. In this new reality, borrowers get paid and savers penalized....Almost 500 million people in a quarter of the global economy now live in countries where interest rates measure less than zero."

SATC China seeks to establish own gold benchmark -AFP
"China announced its first-ever 'fix' for the gold price on Tuesday, as the world's biggest producer and consumer of the yellow metal seeks to establish its own benchmark. 'China needs a gold benchmark that reflects local market flows and reduces gold's price dependency on the US dollar,' Roland Wang, managing director of industry group the World Gold Council in China, said in a statement. 'An Asian-focussed, yuan-denominated benchmark will significantly increase the liquidity and efficiency of the gold price,' he said....China keeps a tight grip on inflows and outflows of the yuan, but says it is seeking to eventually make the currency fully convertible."

In an upside-down financial world more individuals, central banks and nations are hoping to keep their financial footing solid with a gold-based monetary foundation. China’s push for more control in the gold market reflects the government's desire to make gold part of a currency system. In our 2016 Gold Report - World Edition we explain how to shelter your wealth from a global banking crisis and safeguard your savings from negative rates by diversifying your portfolio with universal assets - gold and silver.

Negative rates put pressure on central banks to take risks -Financial Times
"A poll of reserve managers from 77 central banks, entrusted with reserves worth $6tn last August, found a clear majority were changing their portfolio management strategy as a result - including taking steps such as buying riskier assets. 'Central banks need to preserve capital, so investing in securities that force them to lose money is counterintuitive,' said Christian Deseglise, head of central banks, sovereign wealth and public funds at HSBC. 'They are needing to act more aggressively to generate yield and in some cases take more risk.'"

Craig Smith comment: Negative interest rates are not working out very well for Central banks because they force bankers to buy riskier assets, such as securities. Therefore, it should be no surprise to see the stock market running up, while corporate profits are dropping. We do indeed live in an upside down world.

Say goodbye to your neighborhood bank branch -Washington Post
"That bank branch on the corner - and the one on the way to work - may not be there much longer. As technology transforms banking, like it has so many other sectors, the consequence could be a dramatic decline in the industry's outposts over the next decade, experts say. As branches matter less, online banking matters more....'This evolution in consumer preference signals a redefinition of banking convenience,' the report's authors wrote. 'It is no longer always measured in miles to the branch or extra service hours - it is increasingly measured in clicks and apps.'"

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Gold last traded at $1,235 an ounce. Silver at $16.25 an ounce.

NEWS SUMMARY: U.S. stocks traded higher Monday on upbeat earnings as oil prices pared most of their overnight losses. Meanwhile, precious metal prices were steady on a weaker dollar.

Low Interest Rates Boost Rates Trading -Wall Street Journal
"Big U.S. banks have bemoaned low interest rates for years, but instruments linked to those rates have recently proven to be one of the few strong spots for their trading businesses. Rates trading, which typically encompasses government bonds and derivatives, was up at J.P. Morgan Chase & Co., Bank of America Corp. , and Citigroup Inc. during the first three months of the year. The rise reflects a jump in interest-rate volatility during the first quarter as investors grew worried about a global economic slowdown."

In addition to hurting savers, low and negative interest rates also have the effect of pushing investors to seek riskier investments to find returns. It seems the Fed has yet another mandate this year; keep the stock market rally going as long as possible, as we discuss in our 2016 Right On The Money newsletter.

economic growth Austria: 54% “Haircut” Of Creditors In First “Bail In” Under New EU Rules -Global Research
"Just over a year ago, a black swan landed in the middle of Europe, when in what was then dubbed a 'Spectacular Development' In Austria, the 'bad bank' of failed Hypo Alpe Adria – the Heta Asset Resolution AG – itself went from good to bad, with its creditors forced into an involuntary 'bail-in' following the 'discovery' of a $8.5 billion capital hole in its balance sheet primarily related to ongoing deterioration in central and eastern European economies....This was the first official proposed 'Bail-In' of creditors, one that took place before similar ad hoc balance sheet restructuring would take place in Greece and Portugal in the coming months."

We are now witnessing the expansion of bank 'bail-ins' worldwide - which means the cash that bank depositors and creditors have in banks is no longer safe, as we have been warning for over two years. Watch Christopher Greene of Alternative Media TV (AMTV) explain why Donald Trump and others are now warning of a potentially massive economic collapse this year.

Joke Of The Week: Italy’s Bank Rescue Fund -Zero Hedge
"Italian banks have been facing rough seas for quite a while now as the total amount of non-performing loans and bad debt is piling up now....The Italian state had to find a solution on its own, and the proposed way out of the current vicious circle is just laughable. Italy has proposed to start a bad-bank fund called Atlante, which would focus on buying distressed assets from the Italian banks to help them to improve their balance sheets once again. Theoretically that’s an excellent plan, but the size of the new fund is just laughable. Italy’s bad bank fund will have a total available cash resource of 5B EUR....So, the new fund has the size of less than 3% of the total amount of NPL’s in the sector and just over 1% of the total amount of bad loans."

Hungary Issues Sovereign Bonds Denominated In Yuan -Zero Hedge
"Hungary has become the first Eastern European country to issue a yuan-denominated sovereign bond. The deal that shows how currying favor with China may be a more important driver for the market than funding....The Wall Street Journal reports...'Hungary priced the three-year bond at a yield of 6.25%, raising 1 billion yuan ($154 million), a small size for a sovereign deal. Bankers not involved in the transaction estimate that if Hungary issued debt in U.S. dollars and swapped the proceeds into yuan, it would have paid almost 1% less in annual interest costs.'"

China hopes to make an end run around the U.S. dollar worldwide in an effort to usurp the buck's status as the world's reserve currency. We discuss the details of this plan in our 2016 World Money Report.

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4.15.16 - When the Titanic of 2016 Sinks. Will you be on Board?

Gold last traded at $1,234 an ounce. Silver at $16.22 an ounce.

NEWS SUMMARY: U.S. stocks traded lower Friday amid tumbling industrial production, falling consumer confidence and lower oil prices. Meanwhile, precious metal prices rose on bargain hunting and a weaker dollar.

Fed Sends A Frightening Letter To JPMorgan -Zero Hedge
"Yesterday the Federal Reserve released a 19-page letter that it and the FDIC had issued to Jamie Dimon, the Chairman and CEO of JPMorgan Chase, on April 12 as a result of its failure to present a credible plan for winding itself down if the bank failed. The letter carried frightening passages and large blocks of redacted material in critical areas, instilling in any careful reader a sense of panic about the U.S. financial system....The Federal regulators didn't say JPMorgan could pose a threat to its shareholders or Wall Street or the markets. It said the potential threat was to 'the financial stability of the United States.'"

Did you catch that? The entire stability of the nation is still at risk from major banks! Little wonder why more and more depositors are losing confidence in banks and finding alternative forms of money to keep their cash safe. Learn more about how to safely protect your assets today by reading The Secret War on Cash

Titanic Banks can't rely on lifeboats when Titanic sinks -Reuters
"When the good ship HMS Finance is sinking, big U.S. banks won't be able to rely on their internal lifeboats. That's the takeaway from Wednesday's results of the so-called living wills showing how major financial institutions would be wound down in a crisis. JPMorgan Chase and Bank of America are two of five firms that failed the test....JPMorgan and Morgan Stanley, whose living will was found not credible by only the Fed, are among the firms that count on help from foreign units....That means the best laid plans for international cooperation could be thrown out when the next downturn hits....U.S. officials' message to their counterparts and to Wall Street is clear: every man for himself will prevail in the next crisis."

James Grant: Fed Should Do Less of What They Do -BloombergTV
Grant's Interest Rate Observer Editor Jim Grant weighs in on Fed policy. He speaks on "Bloomberg GO." According to Grant, "The Fed should do less of almost everything they now do. They pretend things they can't know and they undertake actions that are mainly unhelpful...the Fed seems to conceive it's principle work as suppressing or distorting the free play of prices - interest rates are prices...over the millennia price control has been shown to be an unwise public policy."

Rickards: Why Gold Is Going To $10,000/oz. -HedgeEyeTV
Bestselling author Jim Rickards sits down with Hedgeye CEO Keith McCullough for an hour to discuss his new book The New Case for Gold and why a cocktail of factors makes it more critical than ever for investors to protect their portfolios with gold.

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Gold last traded at $1,226 an ounce. Silver at $16.17 an ounce.

NEWS SUMMARY: U.S. stocks drifted lower Thursday - despite upbeat jobs data and a modest rise in inflation - amid falling bank earnings reports. Precious metal prices eased back on short-term selling and a firmer dollar.

Gold's $33 billion man: Don't be a doubter; keep buying -CNBC
"Gold's first-quarter rally was staggering: It was the best quarter for gold in 30 years. The State Street Global Advisors' $33 billion SPDR Gold Trust (GLD) took in $7 billion, more than outweighing all it lost in shareholder redemptions in 2014 and 2015. Gold is up 18 percent year-to-date through April 12....George Milling-Stanley, head of the gold strategy team at State Street Global Advisors, thinks the first quarter move into gold was not hot money and is sustainable. 'We think most people were dangerously underweight gold or out of the market altogether,' Milling-Stanley said in a recent interview with CNBC."

Did you know that the average investor portfolio contains less than 1% physical gold? It's true. As Swiss America covers in our 2016 Gold Report - Global Edition, "Gold is a tangible alternative to the madness of manipulated markets, rates, valuations, shares, trades and averages. It is a solid and stable alternative to paper wealth, paper money and the entire economic honor system that government violated long ago."

save The New Cash Warfare: Citizen Hoarders and Economic Freedom -Craig Smith/CBN
"The War on Cash has entered an entirely new phase. After debasing and devaluing paper currencies for generations, governments around the world have now declared open warfare on savers. In light of the global slowdown, five countries along with the European Central Bank have turned to negative interest rates as a means of economic stimulus. By imposing a tax or a fee on monies held in their vaults, the Central Banks are hoping depositors will be encouraged to spend rather than save. Instead this unconventional policy is creating fear and uncertainty. Negative interest rates only seem to accomplish their goal of keeping money out of the bank; if there are other places to put it. Let’s remember we are talking about the hard-earned money of private citizens. Why on earth would central banks try to manipulate that? As I point out in The Secret War, because it 'might unravel today’s economic grand illusion and bring the whole game crashing down.'....Proverbs 27:12 - The prudent see danger and take refuge, but the simple keep going and pay the penalty." FULL STORY

Obama's Escalating War On Prosperity -Steve Forbes/Forbes
"Not since the New Deal’s heyday in the 1930s has Washington waged such an unrelenting assault against the private sector. Both times the result has been the same: a severely underperforming economy. The Obama Administration has let it be known that the White House and the regulatory agencies will be issuing a blizzard of new rules and decrees in the waning months of his miserable regime. These will affect overtime, unionization, the environment and finance, among other areas, thereby hobbling enterprise even more. Bernie Sanders calls himself a socialist. Obama has been practicing this misbegotten creed for more than seven years....Banks have been reduced to the role of utilities....Hospitals and health insurers know who their real customer is these days–Big Government, not the patient....Largely unremarked upon has been the Federal Reserve’s extraordinary usurpation of power, notably its seizure of nearly $4 trillion in financial assets....Even your IRAs aren’t safe, as Washington starts floating the idea that these accounts should be required to hold a certain amount of government bonds. This is another instance of Obama-style socialism: Government control of what you can do with your money is as good as its owning it."

Deutsche Bank to settle U.S. silver price-fixing -Reuters
"Deutsche Bank AG has agreed to settle U.S. litigation over allegations it illegally conspired with Bank of Nova Scotia and HSBC Holdings Plc to fix silver prices at the expense of investors, a court filing on Wednesday showed. Terms were not disclosed, but the accord will include a monetary payment by the German bank, a letter filed in Manhattan federal court by lawyers for the investors said....Investors accused Deutsche Bank, HSBC and ScotiaBank of abusing their power as three of the world's largest silver bullion banks to dictate the price of silver through a secret, once-a-day meeting known as the Silver Fix. According to the lawsuit, the defendants distorted prices on the roughly $30 billion of silver and silver financial instruments traded annually, violating U.S. antitrust law."

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Gold last traded at $1,248 an ounce. Silver at $16.32 an ounce.

NEWS SUMMARY: U.S. stocks rallied Wednesday following upbeat bank earnings and China trade data. Meanwhile, precious metal prices consolidated recent gains as the U.S. dollar rose.

5 major banks fail 'too big to fail' test -CNBC
"Five out of eight of the biggest U.S. banks do not have credible plans for winding down operations during a crisis without the help of public money, federal regulators said on Wednesday, saying the institutions could face stricter oversight if they do not fix their plans....The 'living wills' that the Federal Reserve and Federal Deposit Insurance Corporation jointly agreed were not credible came from Bank of America, Bank of New York Mellon, JPMorgan Chase, State Street, Wells Fargo. None of the eight systemically important banks, which the U.S. government considers 'too big to fail,' fared well in the evaluations."

DON'T BANK ON IT! author Craig R. Smith's comment: "In my opinion, the five major U.S. banks who influence (read: control) the U.S. economy are in violation of the 'living will' provisions of Dodd-Frank. So why isn't anyone in handcuffs? Perhaps political connections. Yet major banks - despite once again being flush with capital - are still not in a position to "wind down" their operations without substantial negative effects on the overall economy during the next financial crisis. Recently, Goldman Sachs was fined $5 billion for fraudulently packaging and securitizing questionable mortgage loans which fomented the market collapse in 2008-2009. Goldman is still unstable, yet they are allowed to operate, collect capital and place bets in the casino we now call Wall Street."

chart Hands Off the 500-Euro Banknote -BloombergView
"The 500-euro ($570) bill is something of a libertarian symbol. In a pre-bitcoin world of state-run currencies, it represented one of the best opportunities for a private citizen to fly beneath government radars....Phasing out a bill in which so much value is kept is no trivial task. Assuming the notes' holders want to keep their savings in cash, printing smaller-denominated bills to exchange for the 500s will cost half a billion euros, the Frankfurter Allgemeine Zeitung has calculated. To extent that savers move out of cash, because it becomes inconvenient, the ECB will end up losing seigniorage -- the profit from the difference between the notes' face value and production cost, which was abnormally high for the 500s. People who used 500-euro bills before may switch to commodities such as gold."

In our White Paper The Secret War on Cash you will discover why government's worldwide are taking aim at moving the world into a cashless future - starting with large bills.

Obama forgiving 400,000 student loans -Marketwatch
"The Department of Education will send letters to 387,000 people they’ve identified as being eligible for a total and permanent disability discharge, a designation that allows federal student loan borrowers who can’t work because of a disability to have their loans forgiven. The borrowers identified by the Department won’t have to go through the typical application process for receiving a disability discharge, which requires sending in documented proof of their disability. Instead, the borrower will simply have to sign and return the completed application enclosed in the letter. If every borrower identified by the Department decides to have his or her debt forgiven, the government will end up discharging more than $7.7 billion in debt, according to the Department."

As one commenter stated: "The New American Dream - Qualify for SS Disability and enjoy a life of leisure at the taxpayers expense." A sad but true sentiment.

World's Largest Coal Producer Files Bankruptcy; 8,300 Jobs At Risk -Zero Hedge
"In a historic event, one which is perhaps the lowlight of the sad demise of the US coal industry, U.S. coal giant Peabody Energy, the largest U.S. coal producer which employs 8,300 workers, filed for bankruptcy on Wednesday, the most powerful convulsion yet in an industry that’s enduring the worst slump in decades....'The factors affecting the global coal industry in recent years have been unprecedented,' Peabody said in the statement. 'Still, multiple third-party estimates project that both the U.S. and global coal demand will stabilize.'"

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4.12.16 - The American Dream is Alive and Well ... but not for Americans!

Gold last traded at $1,260 an ounce. Silver at $16.22 an ounce.

NEWS SUMMARY: U.S. stocks traded higher Tuesday with energy stocks leading as crude topped $41 a barrel and investors brace for earnings season. Meanwhile, gold prices steadied as silver prices rallied despite a firmer dollar.

Silver price climbs to $16 confirming gold's breakout -Mineweb
"Hi Ho Silver, Away! Precious metals have registered a blistering start to the year. After more than four years of defeat, gold bulls once again have something to be excited about. The gold price is up 19% year to date and the mining stock ETF (GDX) is up over 60% since the start of the year. Not bad for a barbarous relic! The early year underperformance of silver led some investors to call into question the sustainability of the rally in precious metals. However, this gap has closed considerably in the past month with gold up 18% vs silver up 15% year-to-date....The bottom line is that silver is in the early stage of confirming gold’s bullish breakout in 2016."

At least four key factors are driving silver prices upward; 1) Physical demand, 2) Investor sentiment, 3) Central bank policy, and 4) Silver is a wealth preserver (like gold). Read THE TIMELESS TRUTH ABOUT GOLD & SILVER Special Report to discover why the future of both gold and silver is so bright.

book America No Longer Top Country to Achieve American Dream -Free Beacon
"Federal Reserve official William Dudley said America is no longer the top country for achieving the American Dream in remarks on economic opportunity and income mobility at a conference in New York on Monday. 'While income mobility in the United States has been relatively unchanged, it remains well below several other nations,' Dudley said. 'The probability of moving from the bottom quintile to the top quintile is 7.5 percent in the United States, as compared to 11.7% in Denmark and 13.5% in Canada-two countries with relatively high levels of intergenerational mobility.'....'So effectively the chance of achieving the American Dream is not the highest for children born in America,' Dudley said."

The American Dream is now leaving the country. America has reached the tipping point in 2016 and must now decide between the American Dream and the Progressive-Socialist dream. As Craig Smith and Lowell Ponte explain in WE HAVE SEEN THE FUTURE AND IT LOOKS LIKE BALTIMORE: AMERICAN DREAM VS. PROGRESSIVE DREAM, countries that adopt free market capitalism tend to produce more wealth and the people there generally have a higher standard of living. Read our free 16-page Executive Summary

Banks Face Massive New Headache on Oil Loans -Wall Street Journal
"The $147 billion question for banks: Will energy companies max out their credit lines? When big banks announce earnings starting on Wednesday, the spotlight will be on massive energy loans that most investors didn't know much about until recently. These unfunded loans have been promised to energy companies that haven't yet tapped the money....J.P. Morgan Chase Chairman and CEO James Dimon in February called the unfunded loans 'the most unpredictable part of our assumptions' about the bank's energy exposure....A mounting number of troubled energy firms have tapped their unfunded loans."

Rounding the Bubble's Edge -Hussman Funds
"The single most important quality that investors can have, at present, is the ability to maintain a historically-informed perspective amid countless voices chanting 'this time is different' and arguing that long-term investment returns have no relationship to the price that one pays....From a long-term, historically-informed investment perspective, the S&P 500 remains obscenely overvalued on valuation measures most closely correlated with actual subsequent market returns....From an intermediate-term perspective, the U.S. equity market continues to trace out an arc that we view as the rounded top-formation of the third speculative bubble in 16 years....Even if short-term market behavior appears relatively stable, one should be prepared for steep losses that may emerge, if history is any guide, seemingly out-of-the-blue."

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Gold last traded at $1,258 an ounce. Silver at $15.98 an ounce.

NEWS SUMMARY: U.S. stocks ended lower Monday - despite rising oil prices and a weaker dollar - as investors anticipate dismal corporate earnings reports this week. Precious metal prices rose 1.5% on bullish momentum and a sinking U.S. dollar.

Bernanke still advocates 'helicopter money' - Marketwatch
"Former Fed chief Ben Bernanke earned the nickname 'Helicopter Ben' for a speech in which he cited Milton Friedman’s imagery of dropping money from the sky in the fight against deflation. Now, Bernanke is taking on the concept that’s becoming more popular in economic circles - so-called helicopter money. That refers to either a tax cut, or public spending, being financed by a permanent increase in the money supply....Bernanke suggests that, to implement helicopter money, the central bank could temporarily raise its inflation objective."

The Federal Reserve is out of economic bullets. Ben Bernanke is now front running the idea of throwing more money at the economy. Today Fed chair Janet Yellen is meeting with president Obama to privately discuss how to put more lipstick on the weakest U.S. economic recovery in history. But alas, the Fed has no answers - which is why the only answer for individuals is asset diversification that includes gold. Read more in our 2016 Gold Report - Global Edition.

black hole US faces ‘disastrous’ $3.4tn pension funding hole-Financial Times
"The US public pension system has developed a $3.4tn funding hole that will pile pressure on cities and states to cut spending or raise taxes to avoid Detroit-style bankruptcies. According to academic research shared exclusively with FTfm, the collective funding shortfall of US public pension funds is three times larger than official figures showed, and is getting bigger....Olivia Mitchell, a professor at the Wharton School at the University of Pennsylvania, told FTfm last month that US public pension plans face 'grave difficulties'. 'I do believe that US cities and towns will continue to suffer, and there will be additional bankruptcies following the examples of Detroit,' she said. Currently, states and local governments contribute 7.3 per cent of revenues to public pension plans, but this would need to increase to an average of 17.5 per cent of revenues to stop any further rises in the funding gap, the research said."

Swiss America chairman Craig Smith strongly suggests that anyone expecting payments from government retirement programs have a viable "Plan B"; which is not dependent upon the solvency of U.S. cities, counties or states. Learn more about a precious metals retirement account.

War on Cash Fueling Bank Hatred -Zero Hedge
"Banking will be increasingly difficult for depositors, as the ability to actually talk to individuals at the bank will dry up. The bank will become more like a faceless authority that holds power over their money and will grow to be hated in a relatively short time....In keeping with the War on Cash, ATM’s will also be eliminated. All transactions will be by plastic card or smart phone.Certainly, as a result of the dangerous position the banks will already be in, we shall witness a steady increase in the charges by banks for the privilege of having the bank control depositors’ economic worth. Worse, we shall witness the outright confiscation of deposits (as in Cyprus in 2013) and the control of how much a depositor may debit his account in any given week (as in Greece today). It’s at this point that a universal trend will unquestionably take place to get around the banks’ control."

Get up to speed fast on why governments are clamping down on physical cash by reading our White Paper The Secret War on Cash.

IMF supports move to negative rates by some central banks -Reuters
"The International Monetary Fund said on Sunday that a move to negative rates by some of the world's central banks would help deliver extra monetary stimulus and ease lending conditions....Critics argue that the move to negative rates, especially in Japan where the central bank has failed to ignite growth or shift inflation upwards, are a sign of desperation. If they remained negative for too long, cash settlement would rise, effectively undermining the policy. It estimated that the tipping point for a move into cash would come between 75 and 200 basis points. Longer-term, negative rates could undermine the viability of life insurers, pensions and savings, the Fund warned, and they might also encourage excessive risk-taking and build financial market bubbles."

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Gold last traded at $1,243 an ounce. Silver at $15.38 an ounce.

NEWS SUMMARY: U.S. stocks traded modestly higher Friday amid rising oil prices, as the yen held near 18-month highs against the U.S. dollar. Precious metal prices extended gains on safe haven buying, gaining 2% for the week.

2016 economy looks bleaker by the day -CNBC
"Some economists now see first-quarter growth as negligible, and it could easily turn out to be negative. Economists shaved already weak growth forecasts by a few more tenths Friday, after wholesale inventories fell 0.5 percent month over month in February, much more than the anticipated 0.1 percent decline. January was also revised down by 0.4 percent....The CNBC/Moody's Analytics Rapid Update, a broader look at tracking forecasts of nine economists, was higher at 0.6 percent, as some economists continued to hold out hope that the economy grew close to 1 percent or higher in the first quarter. Whatever the first-quarter GDP number is when reported on April 28, it's likely to be revised and it could easily be negative - or positive."

"Is the US economy regressing?" asks Swiss America CEO Dean Heskin. "We are in the midst of the slowest and most lackluster economic recovery since the end of World War II, and it appears to be weakening. There is not only a loss of confidence in the markets, there is fear … and in such a state selling begets more selling." Learn how to protect your money from The Great Regression.

Yellen A Brief Appraisal Of Fed False Narratives -Hedge Eye
"Hurray! No recession, no bubbles and the Fed's December rate hike went exactly as planned. That's the latest delusional takeaway from Fed head Janet Yellen. Last night, Yellen joined her predecessors Ben Bernanke, Alan Greenspan and Paul Volcker in NYC for a panel discussion to parade the U.S. economy's 'tremendous progress' since the '07-'09 financial crisis. Last night, Yellen's storytelling hit an all-time low. Here's analysis from Hedgeye CEO Kevin McCullough: 'Yellen has had quite the year of storytelling so far, but last night’s USD comment took the cake: 'higher currency was a drag on the economy and consumer spending.' Fading the Fed's false narratives has been a winning strategy all year. Stick with it."

Debt 'tidal wave' to throw US into recession -Business Insider
"A tidal wave is coming to the US economy, according to Albert Edwards, and when it crashes it's going to throw the economy into recession. The Societe Generale economist, and noted perma-bear, believes that the profit recession facing American corporations is going to lead to a collapse in corporate credit. 'Despite risk assets enjoying a few weeks in the sun our fail-safe recession indicator has stopped flashing amber and turned to red,' wrote Edwards in a note to clients on Thursday. Whole economy profits never normally fall this deeply without a recession unfolding. And with the US corporate sector up to its eyes in debt, the one asset class to be avoided - even more so than the ridiculously overvalued equity market - is US corporate debt. The economy will surely be swept away by a tidal wave of corporate default."

Dancing the Jig in Equities & Gold -Market Anthropology
"The cha-cha and baton pass between asset classes dances on. As gold has taken the lead and made forward progress - taking two steps forward and one step back; equities have mimicked golds moves - albeit, losing a half step along the way. At the end of last year we speculated that precious metals investors would finally find themselves on the right side of the market this year....Should the dollar break below the lows from last October over the near-term, it would likely correspond with the next leg higher for gold and the broader commodity sector."

"On March 31, the U.S. dollar triggered and re-established its long term bear market trend, signaling a major long term sell-off. Simultaneously, gold prices have now had two successive monthly closes above its long-term trend line; restoring gold’s long-term growth cycle....Technically, the gold price is now above its long-term major moving average and together with the market fundamentals, gold prices could see massive gains in the years to come," writes Swiss America's James Carrillo.

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Gold last traded at $1,237 an ounce. Silver at $15.15 an ounce.

NEWS SUMMARY: U.S. stocks slid over 1% Thursday on falling oil prices, dollar weakness, renewed concerns about global growth and ineffective central bank policy. Meanwhile, precious metal prices rose 1.5% on safe haven buying and a weaker buck.

Gold Rises In U.S. Amid Flight To Quality -Wall Street Journal
"Gold prices rose in U.S. trading on Thursday amid a broader flight to quality, as investors bet the Fed would be cautious on raising interest rates given uncertainty about global economic growth. Gold futures rose 1.3% to $1,240.10 a troy ounce on the Comex division of the New York Mercantile Exchange, according to FactSet data. Thursday’s action adds to a robust start to the year for gold futures, which are up some 17% so far."

Wall Street's knee-jerk responses to Fed policy, daily headlines, politics, global growth worries, terror, pandemics, data breaches and a host of other events have kept stocks unstable in 2016. Any of these risks justify holding a portion of physical gold as wealth preservation to secure all or part of a retirement or savings account. Read 2016 Gold Report - Global Edition for the full story.

Fox Business Tax Spending Exceeds Living Expenses -Craig Smith/Fox Business
Americans are now spending more on taxes than food, clothing and housing combined. Every taxpayer's collective tax burden has gone up. So how does this affect the overall health of the economy and GDP? What part does the government play in all of this? Craig Smith explains to Neil Cavuto on Fox Business why "Tax Freedom Day" - the day when the nation as a whole has earned enough to pay the federal, state, and local tax bill for year - will arrive 114 days into the year on April 24, according to the annual report released this morning by the nonpartisan Tax Foundation.

Japan printing big bills as people hoard cash at home -Japan Times
"The Finance Ministry plans to increase the number of ¥10,000 bills in circulation, amid signs that more people are hoarding cash. It will print 1.23 billion such notes in fiscal 2016, 180 million more than a year earlier. The number of ¥10,000 bills issued annually leveled off at around 1.05 billion in the fiscal years from 2011 to 2015. Some financial market sources believe it is because more people are keeping their money at home rather than in banks, because interest rates on deposits have fallen to almost zero after the Bank of Japan introduced a negative interest rate in February."

Negative interest rates are now driving citizens of many nations to stash their cash rather than pay the bank to keep in on deposit. Will this also happen in the U.S.? Discover why governments have a love-hate relationship with their currencies and what to do with your money by reading The Secret War on Cash

Higher Taxes = Lower Revenue -PragerUVid
"Should Taxes Be Higher? It's the million dollar question! Up? Down? No change? Where in the world should taxes go? In election years, the question of tax rates fills the airwaves. In non-election years, the question of tax rates, again, fills the airwaves. So what's the answer? UCLA Professor of Economics Tim Grose explains his research on the topic. Basically, there's a certain point at which higher tax rates actually reduce the amount of revenue the government collects. What's that point? When are tax rates too high? Learn a valuable lesson in economics, and public policy."

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4.6.16 - The More You IRA, The Less You IRS!

Gold last traded at $1,223 an ounce. Silver at $15.05 an ounce.

NEWS SUMMARY: U.S. stocks rose Wednesday on soaring oil prices following muted reaction from release of the latest Fed meeting minutes. Precious metal prices stabilized following yesterday's safe haven buying spree amid a weaker dollar.

Panama Papers: The Consequence Of Centralized Money And Power -Zero Hedge
"Increasing concentrations of wealth and power that are free of any constraint (such as taxes) is not just the consequence of centralized money and state power -- this inequality is the only possible output of centralized money and state power. The Panama Papers offer damning proof of this. Here is a graphic portrayal of just how concentrated global wealth really is: the top .7% (less than 1%) own 45% of all global wealth, and the top 8% own 85%."

taxes Last Minute Tax Tips -WTXL
"The countdown to Tax Day is on! You have until Monday, April 18 to file your return. Another thing to keep in mind before the deadline hits is to contribute the maximum to your retirement accounts. Tax payers have until April 18 or 19, 2016, depending on your state residency, to make IRA contributions for 2015, but the sooner you get your money into the account, the sooner it has the potential to start growing tax-deferred. Stacy Bush from Bush Wealth Management gave some last minute tips to get everything ready on time. Bush said the three most important things to remember are: 1. Get organized, 2. Contribute the maximum to your retirement accounts, 3. Fatten your employer-sponsored retirement plan."

Protect your retirement with a precious metals IRA! Roll over your IRA or your 401K from a previous employer into U.S. gold and silver coins! The clock is running out on your opportunity to fund a Precious Metals IRA with a 2015 contribution (Mon, April 18) which can protect your retirement wealth from the growing uncertainty in the US economy. Call Swiss America at 800-289-2646 for complete details.

The Fed 'is a god that has failed' -Gilder/CNBC
"Why does Wall Street keep recovering after recessions but the economy seemingly never does? The reason, as I document in my book, 'The Scandal of Money: Why Wall Street Recovers but the Economy Never Does' is that Washington and the Federal Reserve together have created a closed loop economy where the Fed creates money for the government and the S&P 500 and Main Street is left out. The Fed decides what money is worth and who receives it and how much. The Fed prices it at zero interest rates, allegedly to stimulate economic growth. But whenever something is free, it's distributed by queue, and only the privileged, connected people in the front of the line get any, not the innovators who create growth and opportunity for Main Street. Trump voters are wrong if they blame Mexico and China, but they are right about one big thing: The economy is rigged against them."

Are the socialists coming? -Weekly Standard
"Conservatives and libertarians are dismayed by the growing support for an ideology they thought had been consigned to the ash heap of history. Writing in Commentary, Ben Domenech worries that the 'rise of socialism—real socialism' means that we will need to relearn the hard lessons of the 20th century 'by repeating the errors of socialism here.'....It was Lenin who first distinguished the two regimes. 'The scientific distinction between socialism and communism is clear,' he wrote in The State and Revolution. 'What is usually called socialism was termed by Marx the first, or lower, phase of communist society'....Complete communism will only come about after the state has withered away. 'So long as the state exists there is no freedom,' Lenin explains. 'Only communism makes the state absolutely unnecessary.'....Whatever today's socialists support, you can be sure it requires heavy doses of statism."

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4.5.16 - Gold Shines While Banking Scandal Widens

Gold last traded at $1,229 an ounce. Silver at $15.12 an ounce.

NEWS SUMMARY: U.S. stocks traded lower Tuesday, following declines in overseas developed markets and banking shares in light of the "Panama Papers" exposing secret offshore bank accounts. Precious metals rose on safe haven buying as the dollar hit a 17-month low against the Yen.

Safe Haven Gold Gains as Stocks Fall -Wall Street Journal
"Gold prices rose Tuesday, buoyed by a surge of haven demand amid global growth concerns....'There’s still a bit of a run for safety going on,' said Ira Epstein, a strategist at the Linn Group....Downbeat economic news from the U.S. and Europe also added to investors’ concerns. The U.S. trade deficit widened to a six-month high in February, the Commerce Department said....Gold prices rose 16.5% in the first three months of 2016, their best quarterly gain in 30 years."

money ATMs to Limit Noncustomer Withdrawals -Wall Street Journal
"J.P. Morgan Chase & Co. capped ATM withdrawals at $1,000 per card daily for noncustomers - cracking down as people started pulling out tens of thousands of dollars at a time when the bank was modifying its machines to dispense hundred-dollar bills with no limit. The bank said there doesn’t appear to be fraud involved. But partly due to heightened regulatory scrutiny, banks are paying more attention to large cash transfers that could be a sign of money laundering or other types of shady activity....Banks must also file a Currency Transaction Report for cash transactions over $10,000 in one day, according to the U.S. Department of Treasury’s Financial Crimes Enforcement Network, or FinCEN."

The sometimes slow, yet steady march toward U.S. and international capital controls should come as no surprise to our regular readers. Get up to speed fast on why governments are clamping down on physical cash by reading our White Paper The Secret War on Cash

China jitters could trigger global market bloodbath -Telegraph
"Jitters over the health of the Chinese economy could trigger a bloodbath on financial markets if a hard landing materializes, the International Monetary Fund has warned....The IMF calculated that emerging market spillovers now accounted for a third of the fluctuations seen in equity and currency markets in advanced nations....'Fire sales' of assets by money managers could also amplify emerging market spillovers in a downturn, if mutual funds rushed to sell illiquid assets, the IMF warned....Christine Lagarde, the managing director of the IMF, is likely to signal on Tuesday that the Fund will downgrade its global growth forecasts ahead of its Spring meeting in Washington this month."

Swiss America's 2016 World Money Report outlines which currencies are rising and which are falling and which countries (like China) are working together to secretly undermine the American “buck". This special report also offers some keen insights into strategic wealth preservation during the potentially volatile times to come!

Gold: You Can't Hack it, Erase it or Delete it -Fox Business
"With fears about the U.S. economy looming, 'The New Case for Gold' Author James Rickards weighed in on Donald Trump’s comments about a potential recession. 'There is a lot of social science research that says monkeys do better than economists at predicting because monkeys don’t know what they’re doing; They are 50% right, economists herd and are wrong most of the time,' Rickards told the FOX Business Network’s Maria Bartiromo....'I recommend 10% of your investable assets. If I am wrong and gold does nothing you won’t get hurt with 10%, but if I’m right, if everything else crashes, or if Trump is right, gold will go up by multiples. So, that’s your insurance for the rest of your portfolio,' said Rickards....'But I don’t day trade gold, I have it for a slice of my portfolio to preserve wealth. It’s a difference between making money and preserving wealth.'"

We agree 100% with James Rickards; gold should be viewed as the ultimate form of international money - which serves as a trustworthy wealth preserver - rather than the common view of gold as simply another commodity or investment. Read more about gold's bright future in Swiss America's 2016 Gold Report - Global Edition.

Americans show up in the Panama Papers, too -McClatchydc
"The world’s largest document leak went public on April 3, quickly dubbed the 'Panama Papers.' These documents detailed the offshore bank accounts of many of the world’s richest people....The passports of at least 200 Americans show up in this week’s massive leak of secret data on secretive offshore shell companies. Given the high-profile nature of some of the foreign names in the leaks – close associates of Russian President Vladimir Putin were seen moving more than $2 billion through shell companies – many of the Americans may seem like small fish....Offshore corporations have one main purpose - to create anonymity. Recently leaked documents reveal that some of these shell companies, cloaked in secrecy, provide cover for dictators, politicians and tax evaders."

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Gold last traded at $1,217 an ounce. Silver at $14.91 an ounce.

NEWS SUMMARY: U.S. stocks traded down Monday as investors eyed lower oil prices and the so-called "Panama Papers" which revealed a massive data leak exposing over 11 million offshore accounts of the world’s wealthiest. Precious metals traded in a tight range on a flat dollar.

Wall Street's latest dirty word - stagflation -CNBC
"A tightening labor market and rising inflation against a backdrop of slowing overall growth are painting an increasingly stagflationary picture for the U.S. economy. Stagflation, or conditions in which costs are rising but growth is not, last was seen in the 1970s, before then-Fed Chair Paul Volcker had to push the economy into recession to slay the inflation dragon. Now, with a variety of factors coming together to show inflationary-deflationary cross currents, Wall Street is bracing for another battle....Jim Paulsen, chief investment strategist and economist at Wells Capital Management, said in a report for clients, 'While the U.S. is not facing runaway inflation, the concept of stagflation has become much more noticeable.'"

money The Scandal Of Money -Gilder/Forbes
"I'm not alone in my admiration of George Gilder's new book, The Scandal of Money: Why Wall Street Recovers But The Economy Never Does. Conjoin the praise of Reaganomics' co-architect Dr. Arthur Laffer's 'Thirty-five years ago, George Gilder wrote Wealth and Poverty, the bible of the Reagan Revolution. With The Scandal of Money he may have written the road map to the next big boom' with that of Venture Capitalist-In-Chief Peter Thiel's 'Why do we think governments know how to create money? They don't. George Gilder … is our best guide to our most fundamental economic problems.'....Gilder, a world-respected thought leader in high tech as well as in economic growth theory, furnishes a compelling way to restore job growth and economic mobility. He fuses cutting edge information theory with the oldest and most reliable of monetary policies, the gold standard. In Gilder's hands you do not have to go in understanding either to come out understanding both."

Last summer we reviewed George Gilder's brilliant essay The 21st Century Case For Gold: A New Information Theory of Money, which explains to readers why no paper currency can ever be an accurate measure of wealth or time unless it is rooted in an unchanging 'store of value'. According to Gilder, "The source of the value of money is time - irreversible, inexorably scarce, impossible to hoard or steal, distributed with remorseless equality to rich and poor alike. As an index of time, gold imparts the accurate price signals needed for sustained economic growth and expanded opportunity." Stay tuned for our book review of The Scandal of Money.

Major Reversal Triggered in Gold and Dollar -Carrillo/SATC
"On March 31, the U.S. dollar triggered and re-established its long term bear market trend, signaling a major long term sell-off. In layman's terms; be prepared to potentially lose your buying power even more rapidly than you have over the last four decades. Simultaneously, gold prices have now had two successive monthly closes above its long-term trend line; restoring gold's long-term growth cycle....Stagflation - the economic malaise our nation faced under Jimmy Carter - is the Fed's worst nightmare. The dollar and economy decline, while inflation and gold prices rise dramatically. Today the underlying U.S. economy simply isn't healthy enough to sustain growth, which puts the Fed in a precarious position. If they lift interest rates during stagnant growth (i.e. recession) with the real unemployment rates high, the economy will freeze up." Full story

Why fear a cashless world? -The Guardian
"The health food chain Tossed has just opened the UK's first cashless cafe. It's another step towards the death of cash. This is nothing new. Money is tech. The casting of coins made shells, whales' teeth and other such primitive forms of money redundant. The printing press did the same for precious metals: we started using paper notes instead. Electronic banking put paid to the check. Contactless payment is now doing the same to cash, which is becoming less and less convenient. In the marketplace convenience usually wins....My worry is that a cashless society may exacerbate inequality even further....In a world without cash, every payment you make will be traceable. Do you want governments, banks or payment processors to have potential access to that information? Cash, on the other hand, empowers its users. It enables them to buy and sell, and store their wealth, without being dependent on anyone else."

Special Report: Governments' SECRET WAR Against Cash Exposed! If Americans wish to withdraw cash, why would the banks not just let them take their dollars and go? Because doing so might unravel today's economic grand illusion and bring the whole system down. This helps explain why banks must report to the government any financial behavior on your part it deems “suspicious” or “unusual.”

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4.1.16 - You Call That Job Growth? US is Becoming a Minimum Wage Nation!

Gold last traded at $1,223 an ounce. Silver at $15.04 an ounce.

NEWS SUMMARY: U.S. stocks traded higher Friday - despite falling oil prices - after jobs and manufacturing data beat downgrade forecasts. Precious metal prices stabilized amid profit taking and a firmer U.S. dollar.

"Gold put forth its best quarterly performance since 1986, rising 16.5% ytd. Gold has maintained its appeal - which is evidence that concerns about central banks, negative interest rates, and the global economy persist. For the balance of the year, however, Gold will benefit from more global quantitative easing, an unexpectedly dovish Fed and the political uncertainty of the US elections. Physical demand from India and China is also bullish for the balance of 2016 which will help keep things optimistic."
-Dean Heskin, CEO, Swiss America

65% of March Jobs Were Minimum Wage -Zero Hedge
"In March the US economy added a healthy 215K jobs, beating expectations and more importantly, pushing the average hourly earnings up by 0.3% on the month. Which, however, is curious because a cursory look at the job additions in the month reveals that nearly two-third of all jobs, and the three top categories of all job additions, were once again all minimum wages jobs....This "growth" of minimum wage labor took place while some of the highest paying jobs, including mining and logging, manufacturing and transportation and warehousing all posted declines in March. The only silver lining was that construction jobs posted a healthy 37K bounce, while government 'workers' added a solid 20K."


So what's the real unemployment rate? -CNBC
"The Labor Department said Friday that the unemployment rate rose to 5 percent in March. But does that tell the whole story?....Most economists look past the official unemployment rate (also know as the 'U-3' rate) to other metrics that provide their own nuanced view of the economy. One of those metrics is the U-6 rate, a figure that includes more of the unemployed population than the U-3....The U-6 rate rose slightly to 9.8 percent in March....Despite the improvement that government statistics show, some economists think the real employment situation is much more dire. They point to the labor participation rate, which measures the portion of eligible Americans who are counted among the 'labor force' in calculating the unemployment rate....In March, that figure rose a tenth of a percentage point to 63 percent."

Push for $15 Minimum Wage Heats Up -Wall Street Journal
"California and New York are moving to become the first states to lift the minimum wage to $15 an hour, propelling a wage target once focused on major urban areas into every corner of the economy from farm communities to industrial towns. Lawmakers in California on Thursday passed a $15 pay floor for large businesses by 2022 and all firms a year later. New York officials on Thursday struck a deal to bring the $15-an-hour minimum to New York City by 2019 and the rest of the state in subsequent years....The push by two of the nation’s four most populous states will widen a debate about the benefits and risks of elevated minimum wages in an election season marked by voters’ concerns about income inequality and the government’s role in shaping the economy....A $15 minimum would be like 'a boulder' hitting the labor market, affecting many more workers than the smaller increases before, said Jonathan Meer, a Texas A&M University economist who studies the minimum wage. For people in poverty, 'I don’t know how it helps them to make it illegal to work for less than $15 an hour,' he said."

Central bankers' secret new plan to crush the dollar -Rickards/The Crux
"The U.S. dollar has just been knocked down and forced to serve the interests of the world against the will of the American people....Based on the best information we’ve been able to obtain, it looks like the dollar has just been Shanghaied by the G-20 (the unelected, unaccountable group of 20 nations that collectively control the world monetary system). This could be the most important financial development of 2016, with enormous implications for you and your portfolio....It’s time to trash the dollar again. But the U.S. does not have the same skillful leadership we had in James Baker. This time, the big winner won’t be the U.S.; it will be China. The losers will be the same - Japan and Europe."

The U.S. dollar fell into a technical bear market in Q1 2016 amid Fed uncertainty and ongoing currency wars. As we discuss in our 2016 World Money Report, "The dethroning of the dollar has the potential to trigger massive inflation, skyrocketing prices of staple goods, higher interest rates for critical purchases, and impossible financing terms for houses, cars, loans, etc. The fallout, fear and contagion could very well dwarf the financial crisis of 2008."

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